Benefits Of Real Estate Investments
Real house investments is the buying, selling, leasing and renting of land, buildings and houses and the property comprises of each and every building and what it contains in that area, land and its environment.
Residential real estate comprises of single or multifamily structures for occupation or just for non-business purpose and their ownership may depend on whether its leased or owned through agreement while the commercial real estates are basically used for business purposes and in most cases they are large as one single building can carry more than three large businesses; whereas industrial estate are used for industrial purposes and for production.
This type of investment needs one to be very stable when it comes to capital for staring the business and incase one do not meet that there are many ways of acquisition of it through traditional loans, private lenders like friends, or from an angel investor a well off individual who can lent any amount one needs, real estate crow funding where people may crowd up to pull one business to stability and through this the capital is got.
This type of investments maybe very expensive to start but one of the most leading income pumping business known and it can give a steady income flow and one is sure of enjoying potential financial rewards from his/her estate investments.
This type of business its very flexible as it includes the tenant repayments of loans and this is done by using the money they pay as rent to repay the loan.
it’s a type of business that gives one the power to do own decision making best of his/her business and this gives full anatomy and control over the real estate investment.
Owners of real estates enjoy tax exemptions by just owning rental property, their rental income not subjected to any rental income tax and they heavily enjoy tax breaks for property depreciation or maintenance repairs and insurance from the government not forgetting lower tax rates they get because what they own is long term.
Another great advantage of investing in this business is that it’s hedge against inflation and incase there is high inflation and the cost of living is high, rental income and property value increases significantly and their cash flow increases.
As this type of business involves taking a loan for financing your investments, repayment of this loans and their interest on and in time will make one stand a better chance of getting another mortgage as he/she simultaneously builds equity and wealth in the same property .